Reassessing the Impact of High Performance Workplaces

39 Pages Posted: 27 Jan 2003  

Elke Wolf

Center for European Economic Research (ZEW)

Thomas Zwick

University of Wuerzburg - Business Administration & Economics; Centre for European Economic Research (ZEW); Maastricht University - Research Centre for Education and the Labour Market (ROA)

Date Written: July 15, 2002

Abstract

High performance workplace practices were extolled as an efficient means to increase firm productivity. The empirical evidence is disputed, however. To assess the productivity effects of a broad variety of measures, we simultaneously account for both unobserved heterogeneity and endogeneity using establishment panel data for Germany. We show that increasing employee participation enhances firm productivity in Germany, whereas incentive systems do not foster productivity. Our results further indicate that firms with structural productivity problems tend to introduce organisational changes that increase employee participation whereas well performing firms are more likely to offer incentives.

Keywords: high performance workplaces, microeconometric evaluation, firm productivity, panel regression

JEL Classification: C23, D23, D24, M12

Suggested Citation

Wolf, Elke and Zwick, Thomas, Reassessing the Impact of High Performance Workplaces (July 15, 2002). ZEW Discussion Paper No. 02-07. Available at SSRN: https://ssrn.com/abstract=320986 or http://dx.doi.org/10.2139/ssrn.320986

Elke Wolf (Contact Author)

Center for European Economic Research (ZEW) ( email )

P.O. Box 10 34 43
L 7,1 D-68161 Mannheim
Germany

Thomas Zwick

University of Wuerzburg - Business Administration & Economics ( email )

Sanderring 2
Wuerzburg, D-97070
Germany

Centre for European Economic Research (ZEW) ( email )

P.O. Box 10 34 43
L 7,1 D-68161 Mannheim
Germany

Maastricht University - Research Centre for Education and the Labour Market (ROA) ( email )

P.O. Box 616
Maastricht, MD6200
Netherlands

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